North Carolina Down Payment Support Programs

Payments Gateway - These systems will be the Down Payment Assistance System as well as the Mortgage Credit Certificate.

You purchase a property and December 1, 2009 and should you qualify for one of those plans, it is also possible to qualify for the $8,000 tax credit only enacted into law in the Federal Economic Stimulus Plan.

First, who's a First Time Home Buyer? There is a First Time Home Buyer someone who has not owned a house within the past three years. Here is the exact same qualifying definition for the $8,000 tax credit.

What's a Mortgage Credit Certificate and Who Qualifies?

A Mortgage Credit Certificate (MCC) is a federal tax credit to assist home buyers with moderate and low incomes. The MCC takes this a step further.

You'll be able to claim 20% of the interest you pay on your mortgage as a credit on your federal income taxes should you qualify for the MCC. You can save around $2,000 on your taxes.

Should you qualify for 2009, for the MCC, you will manage to unite this. This would reduce a purchaser's tax liability by $10,000.

Who qualifies for an MCC is based on the cost of the property as well as your income you are buying. Household income is defined as the “gross income of the mortgagor and every other person anticipated to live in the residence who's 18 years old or older.”

House price limitations that apply in Durham Orange and Chatham Counties and the income are given below.

MCC Income Limits 1 Man $61,500 2 Individuals $61,500 3 Men $70,500 4 Persons $70,500

MCC Sales Price Limits New House $220,000 Existing Residence $210,000

Who Qualifies for Down Payment Help?

Home buyers that want help with their deposit and closing prices may be able to get down payment assistance - or, in other words, interest-free, deferred second mortgages up to $8,000. The buyer only has to pay and the load would pay around $8,000 of the remaining balance.

This plan has stricter income limitations than the MCC plan summarized above. Like the MCC program, it can be utilized in conjunction with all the new $8,000 tax credit on home purchases between December 1, 2009 and January 1, 2009. The deposit help, however, can't be utilized along together with the MCC. This is an either or scenario.

House price limits that apply in Orange, Durham and Chatham Counties and the income are given below.

Down Payment Assistance Income Limitations

1 Individual $39,950 2 Persons $45,650 3 Men $51,350 4 Men $57,050

Down Payment Support Sales Price Limits New House $210,000 Existing Residence $210,000